Elon Musk has ordered layoffs across Twitter
According to The New York Times, Elon Musk has ordered the dismissal of Twitter staff throughout the company. On Saturday, the CEO of SpaceX and Tesla, and as of Friday, Twitter, reportedly told managers to start making lists of employees to be cut.
The Times was unable to determine how many Twitter employees Musk plans to lay off, though some teams will be affected more than others. Before completing a $44 billion takeover of the company, Musk reportedly told investors he planned to lay off 75 percent of Twitter’s 7,500 employees. It is said that during a meeting with the staff, Musk promised the company’s employees that he would not cut the company’s staff so drastically. But, apparently, Musk did not keep his word.
Future layoffs are likely to take place by November 1. The timing could give Musk an opportunity to avoid paying out stock grants to departing employees. According to The Times, such payments “usually make up a significant portion” of an employee’s salary. While Musk shared some details about what moderation might look like on the platform under his watch, he was less forthcoming about his plans for the company’s employees.
Musk has already cut some of Twitter’s executive team, firing CEO Parag Agrawal and CFO Ned Segal on the day he took ownership of the company. According to The Guardian, the moves are expected to cost Musk at least $120 million in “golden parachute” payments (severance payments to laid-off employees).
